Alcoa predicts 33.6% rise in China's demand for aluminium

Alcoa Inc, the world's largest aluminium producer, has reported that it expects demand for aluminium from China to increase 33.6% during 2007, to 11.7 million metric tons. This compares with the 23.1% increase forecast in April of this year. Alcoa also expects demand for aluminium to increase in Latin America and the former Soviet Union countries and has therefore upgraded its predictions for annual growth in world demand for the lightweight metal from 7.7%, to 10%. However demand in North American, which had been expected to remain flat, is now likely to show a decrease of around 2.5% during the year. The variations mean that Alcoa is still predicting a small surplus in aluminium for 2007 and 2008.